The Greater Manchester council left teetering on the brink of bankruptcy

Trafford Council is in hot water, needing a £20m emergency loan from the Government to avoid bankruptcy due to a projected £24m funding cut over the next three years. Meanwhile, Manchester Council is celebrating a 23% funding boost. If Trafford doesn’t secure this loan, they may have to declare bankruptcy under a Section 114 notice, meaning major cuts to services like leisure centres and libraries. In response, Trafford plans to hike council tax by 4.99%, the maximum permissible without a referendum. They’re also aiming for savings of around £17m by cutting costs and increasing temporary accommodation to reduce reliance on expensive options. The situation is further complicated by past Tory tax freezes, which have left the council with a “structural deficit.” Labour council leader Tom Ross criticises the Conservatives for this financial mess, while opposition leader Nathan Evans calls the budget draft “wishful thinking.” As the council prepares to vote on the budget, discussions with the Government are ongoing to secure a more sustainable financial future for Trafford.

Read the full article at Manchester Evening News